MONTGOMERY– A Dollar General lawsuit alleges the retailer repeatedly charged shoppers more at checkout than advertised on shelves, price tags, and advertisements.
Alabama Attorney General Steve Marshall announced Alabama’s participation Tuesday. The state joined the Federal Trade Commission and 19 other states in the case.
The coalition filed the federal complaint Oct. 26 in the U.S. District Court for the Middle District of Tennessee. It alleges years of pricing discrepancies that cost consumers millions of dollars.
“The price on the shelf is supposed to be the price you pay,” Marshall said.
He also said Alabama families who carefully budget their spending suffered from the alleged overcharges.
Complaint Alleges Repeated Pricing Problems
According to the complaint, Dollar General received tens of thousands of complaints from customers who said stores did not honor advertised prices.
The FTC and states also allege that thousands of stores collected unlawful overcharges without sufficient safeguards. They contend the company knew about recurring problems but failed to adequately address them.
In addition, the coalition alleges violations of the FTC Act, the Gramm-Leach-Bliley Act, and state consumer protection laws. Alabama’s claims include alleged violations of its Deceptive Trade Practices Act.
The allegations are not court findings. The court will decide the case.
Dollar General Responds
Meanwhile, Dollar General said in an Oct. 26 statement that it will vigorously defend the lawsuit. The company disputed suggestions that it willfully disregarded customers’ needs.
It also said its goal is complete accuracy between shelf and register prices. When discrepancies occur, employees should correct them for customers, according to the company.
Additionally, Dollar General said it has improved its pricing processes and cooperated with the FTC’s investigation. It also disputed the agency’s proposed financial calculations while expressing willingness to continue settlement discussions.
Other participating states are Arizona, Arkansas, California, Connecticut, Florida, Illinois, Iowa, Kansas, Louisiana, Michigan, Mississippi, Nebraska, New Jersey, North Carolina, Ohio, Oklahoma, Tennessee, Utah, and Wisconsin.
You must be logged in to post a comment.